Gates-led micro-enterprise can help Africans survive, thrive

The retirement of Bill Gates from Microsoft continues to reverberate through the business world, but it's in the nonprofit community that the real shock waves will be felt.

The Bill & Melinda Gates Foundation has funded some of the most important and far-reaching aid and development initiatives ever seen. It has transformed the global health field from a poorly resourced cadre of experts to a networked, well-financed force for good. With today's tough challenges, Gates' move to full-time philanthropy is welcome news.

If past is prologue, Africa should remain a primary focus. The Gates Foundation has worked tirelessly to put the diseases of the poor on the radar of policymakers and international organizations. It has funded extraordinary efforts to develop vaccines for killers such as malaria and AIDS and invested in overlooked crises in maternal and childhood health.

The Gates Foundation has drawn so much attention to neglected tropical diseases that soon they may no longer be considered neglected. There is still a long way to go, but the foundation could alter the world's health much as Microsoft changed the world's interaction with technology.

Some emphasize prioritizing investments to aid people in disaster zones and focusing on the poorest people. But in order to break the cycle of violence and poverty, an equal focus should be placed on investments in long-term security and prosperity.

There are 210 million people on the continent living in extreme poverty. Despite nearly half a trillion dollars of international aid over the past four decades, most countries are poorer than when the aid started. Aid delivery has been corrupt and focused on narrow interventions — from individual diseases to oil megaprojects — rather than on integrated solutions. Without creating vibrant private-sector industries that will thrive and provide revenue, jobs and a tax base, there is little reason to expect things will get better.

Local industries and businesses should be prime targets for investors since they are likely to have the greatest impact on the average African. When allocating financial resources to Africa, Bill Gates and other donors must view themselves as investors rather than charitable trusts.

Certainly, aid for short-term needs and disasters is invaluable, but we must look beyond that toward growth and sustainable industries. Capitalizing on already present natural and human resources allows Africans and their partners in trade and aid to take the first, necessary step toward eradicating poverty permanently. By raising awareness about potential opportunities, mobilizing villagers to participate, building capacity in various forms, and exploring product development at different levels, Africa can and will grow.

In Rwanda, weaving cooperatives have become extremely successful. Baskets made by local women are sold to tourists visiting Rwanda and to overseas customers such as Macy's. We've also seen local organic-farming cooperatives grow niche crops, like pomegranates, chickpeas and chili peppers. These products are sold to local markets and international corporations, establishing a clear supply chain for consistent purchase of produce at negotiated and guaranteed prices.

Both cooperatives have raised members' standard of living and promoted sustainable commercial opportunities that will exist for years to come. The key to both is that their products are based on knowledge of markets; they are not simply producing basic commodities, which has a nasty tendency to impoverish producers.

It is in projects like these where government programs and organizations such as the Gates Foundation can exponentially and permanently improve the condition of Africans. If aid in the 20th century was characterized by the expansion of financial resources to those most in need, the 21st century should be focused on sharing and building knowledge resources.

Although Africa is often portrayed as a continent prone to violence and corruption, this isn't always the case. Countries such as Rwanda, Tanzania and Mozambique are among the safest and least-corrupt nations on the continent and are prime locations for international investment.

Rwanda and Uganda are home to Africa's mountain gorillas, which attract thousands of tourists every year. Tanzania is a popular destination for visitors looking to go on safari. With stable governments, peaceful and orderly societies, and a constant flow of international visitors, opportunities for growth and development in countries like these are substantial.

Micro-enterprise is the key to improving the standard of living and enhancing the quality of life for Africans today. If Bill Gates can do with these business opportunities what he did for Microsoft — and persuade others of the strength of this approach — the developing world may begin to flourish instead of simply developing.